Lafarge has sold to Votorantim its 17.28% interest in Cimpor. The transaction will be completed in principle through an exchange of the Cimpor shares held by Lafarge for certain of Votorantim's assets in Brazil.
The value received by Lafarge for its stake will depend on the evolution of the outstanding tender offer for the Cimpor shares and on Votorantim's future decision about whether to keep the shares received as part of the exchange.
Thus, depending on the outcome of these events, Lafarge will receive either:
- cement assets of Votorantim, located in regions complementing Lafarge's position in Brazil, and possibly additional assets or cash, depending on the final value offered for Cimpor
- the proceeds from any successful offer to which Votorantim may choose to tender its Cimpor shares.
The execution of this transaction allows the Group to unlock the value of its minority interest position in Cimpor, while capturing the best offer available.
Notes to editors
Lafarge is the world leader in building materials, with top-ranking positions in all of its businesses: Cement, Aggregates & Concrete and Gypsum. With 84,000 employees in 79 countries, Lafarge posted sales of Euros 19.0 billion in 2008.
In 2010 and for the sixth year in a row, Lafarge was listed in the ‘Global 100 Most Sustainable Corporations in the World'. With the world's leading building materials research facility, Lafarge places innovation at the heart of its priorities, working for sustainable construction and architectural creativity.
The Votorantim Group is one of the largest industrial conglomerates in Latin America, operating in sectors such as cement and concrete, energy, steel, metals (aluminum, zinc and nickel), pulp and paper, orange juice, financial services, among others.
Votorantim Cimentos, the cement and concrete Unit of the Group, is one of the world's top ten manufacturers of cement, concrete and aggregates. In Brazil it is the market leader and operates eight production units outside Brazil, two in Canada, five in the United States and a unit in Bolivia (Puerto Suarez). Votorantim owns 15% of Chile's Cementos Bio Bio, and holds a 38% stake in both Cementos Avellaneda in Argentina and Cementos Artigas S/A in Uruguay. As a family-controlled Brazilian company founded in 1918, Votorantim now operates in 16 countries.